[HISTORY: Adopted by the Board of Trustees of the Village of Skaneateles 6-30-2003.
Amendments noted where applicable.]
The objectives of the Investment Policy of the Village of Skaneateles
are to conform to all applicable federal and state legal requirements; to
adequately safeguard principal; to provide sufficient liquidity to meet all
operating requirements; and to insure a competitive rate of return.
The Village Board's responsibility for administration of the investment
program is delegated to the Village Clerk/Treasurer who shall establish written
procedures for the operation of the investment program consistent with these
investment guidelines. Such procedures shall include an adequate internal
control structure to provide a satisfactory level of accountability based
on records incorporating description and amounts of investments, transaction
dates, and other relevant information.
In accordance with this policy, the Village Clerk/Treasurer, the chief
fiscal officer, is hereby authorized to invest all funds, including proceeds
of obligations and reserve funds, in:
A.Â
Obligations issued, or fully insured or guaranteed as
to the payment of principal and interest, by the United States of America,
an agency thereof or a United States government sponsored corporation.
B.Â
Obligations issued or fully insured or guaranteed by
the State of New York, obligations issued by a municipal corporation, school
district or district corporation of such state or obligations of any public
benefit corporation which under a specific state statute may be accepted as
security for deposit of public moneys.
C.Â
Certificates of deposit issued by a bank or trust company
authorized to do business in New York State.
D.Â
Time deposit accounts in a bank or trust company authorized
to do business in New York State.
A.Â
Eligible securities used for collateralizing deposits
shall be held by the depository and/or a third party bank or trust company
subject to security and custodial agreements.
B.Â
The security agreement shall provide that eligible securities
are being pledged to secure the Village's deposits together with agreed-upon
interest, if any, and any costs or expenses arising out of the collection
of such deposits upon default. It shall also provide the conditions under
which the securities may be sold, presented for payment, substituted or released
and the events which will enable the local government to exercise its rights
against the pledged securities. In the event that the securities are not registered
or inscribed in the name of the local government, such securities shall be
delivered in the form suitable for transfer or with an assignment in blank
to the Village of Skaneateles or its custodial bank.
C.Â
The custodial agreement shall provide that securities
held by the bank or trust company, or agent of a custodian for the local government,
will be kept separate and apart from the general assets of the custodial bank
or trust company and will not, in any circumstances, be commingled with or
become part of the backing for any other deposit or other liabilities. The
agreement should also describe that the custodian shall confirm the receipt,
substitution or release of the securities. The agreement shall provide for
the frequency of revaluation of eligible securities and for the substitution
of securities when a change in the rating of a security may cause ineligibility.
Such agreement shall include all provisions necessary to provide the local
government a perfected interest in the securities.
Payment shall be made by or on behalf of the Village for obligations
of New York State, obligations the principal and interest of which are guaranteed
by the United States, United States obligations, certificates of deposit,
and other purchased securities upon the delivery thereof to the custodial
bank or, in the case of a book-entry transaction, when the purchased securities
are credited to the custodial bank's Federal Reserve System account. All transactions
shall be confirmed in writing.
Written contracts are required for certificates of deposit and custodial
undertakings. With respect to the purchase of obligations of the United States,
New York State, or other governmental entities, etc., in which moneys may
be invested, the interests of the Village will be adequately protected by
conditioning payment on the physical delivery of purchased securities to the
Village or custodian or, in the case of book-entry transactions, on the crediting
of purchased securities to the custodian's Federal Reserve System account.
All purchases will be confirmed in writing to the Village.
Official depositories shall be designated at the Village's annual meeting,
the first Monday of April.
All trading partners must be credit worthy. Investments in time deposits
and certificates of deposit are to be made with banks or trust companies.
Their annual reports must be reviewed by the chief fiscal officer to determine
satisfactory financial strength.
A.Â
The chief fiscal officer shall authorize the purchase
and sale of certificates of deposit on behalf of the Village. Oral directions
concerning the purchase or sale shall be confirmed in writing. The Village
will encourage the purchase of certificates of deposit through a competitive
or negotiated process involving telephone solicitation of at least two bids
for each transaction.
B.Â
Within 60 days of the end of each of the first three
quarters of the fiscal year, the chief fiscal officer shall prepare and submit
to the Board of Trustees of the Village a quarterly investment report which
indicates new investments, the inventory of existing investments, and such
other matters as the chief fiscal officer deems appropriate.
C.Â
Within 120 days of the end of the fiscal year, the chief
fiscal officer shall prepare and submit to the Board of Trustees an annual
investment report, any recommendations for change in these investment guidelines,
the investment income record, a list of total fees, if any, paid to the custodial
bank and such other matters as the chief fiscal officer deems appropriate.
D.Â
At least annually and, if practicable, at the annual
meeting of the Board of Trustees, the Trustees shall review and amend, if
necessary, these investment guidelines.
E.Â
The provision of these Investment Guidelines and any
amendments hereto shall take effect prospectively, and shall not invalidate
the prior selection of any custodial bank or prior investment.
A.Â
A service award program for eligible volunteer fire fighters
of the Village of Skaneateles Fire Department, providing a defined benefit
plan as described in § 219 of Article 11-A of the New York State
General Municipal Law, was approved by public referendum held March 17, 1992.
The program also provides ordinary death and disability benefits.
B.Â
Under the General Municipal Law, the Village Board of
the Village of Skaneateles is the service award program sponsor, and Board
members serve as trustees of the Service Award Program Trust Fund.
